McDonald's is bringing back one of its most expensive failures — with one major difference

McDonald's
is testing a burger made with fresh beef, called the
Archburger, at a handful of locations.

The burger seems to be a revamped version of the Arch
Deluxe, a McDonald's flop from the late 1990s.

The New York Times reported that McDonald's spent an
estimated $200 million advertising the Arch Deluxe in 1996
before discontinuing the burger, which was designed to win over
more sophisticated customers.

When it debuted, the burger was slightly pricier than
other McDonald's fare. But now it's comparably
cheaper.

McDonald's is testing a new take on a high-profile flop.

The fast-food chain recently began a test of Archburgers made
with fresh beef at a handful of restaurants, McDonald's confirmed
to Business Insider. A note from the Nomura analyst Mark
Kalinowski says it's testing the fresh-beef burger at seven
locations in Oklahoma and Texas.

With the test, it appears the chain's Arch Sauce, a mustard-mayo
combination, has returned to the menu. The sauce debuted in 1996
a topping for the Arch Deluxe, a sandwich aimed at more
sophisticated and "adult" customers.

A Big
Mac.Hollis Johnson/Business
Insider

McDonald's spent an estimated $150 million to $200 million
advertising the Arch Deluxe's rollout — at the time the most
expensive promotional campaign in fast-food history,
The New York Times reported.

Though the fast-food chain's executives had predicted it would
bring in $1 billion in sales in 1996, the burger — which at $2.09
to $2.49 was on par with or pricier than typical McDonald's fare
— failed to win over customers and was discontinued in the late
'90s.

Now, McDonald's is once again trying to use Arch Sauce to appeal
to more gourmet-minded customers, pairing it with fresh beef in
the Archburger. But this time, an Archburger with cheese,
pickles, onions, and the sauce is cheaper, starting at $2.19. For
comparison, a Big Mac costs about $4.

"We are continuing to raise the bar for our customers with new
menu items and ways to experience our brand," said Becca Hary, a
McDonald's representative.